ADNOC signs MoU with North Rhine-Westphalia to create low-carbon ammonia value chain

ADNOC on Monday that it will explore opportunities to support the climate-neutral transformation of industry through the creation of a low-carbon ammonia value chain with state government and industry representatives in Germany’s North Rhine-Westphalia.

The announcement was made following the signing of a memorandum of understanding (MoU) between the Government of North Rhine-Westphalia, ADNOC, and Currenta GmbH & Co. OHG (Currenta), a chemical industry services provider that manages and operates one of the largest chemical sites in Europe, Chempark, with locations in Leverkusen, Dormargen, and Krefeld-Uerdingen, in North Rhine-Westphalia.

Ammonia, a compound of nitrogen and hydrogen, can be used as a low-carbon fuel across a wide range of industrial applications, including transportation, power generation, and industries including steel, cement, and fertiliser production.

The agreement was signed in Dusseldorf, Germany, by Mona Neubaur, Deputy Prime Minister of North Rhine-Westphalia and State Minister for Economics, Industry, Climate Protection, and Energy; Musabbeh Al Kaabi, Executive Director, of Low Carbon Solutions and International Growth Directorate at ADNOC; and Frank Hyldmar, CEO of Currenta.

Affirms Commitment

Neubaur said that they will do utmost to expand the capacities for the generation of renewable energies and to produce other climate-neutral energy carriers such as green hydrogen in this country as much as possible.

“However, it is also clear that we will have to import various green energy sources in large quantities to cover our needs and achieve our climate protection goals. We are now building partnerships and a broad import infrastructure to supply our industry. The basis for our cooperation is diversification with many countries,” Neubar said.

The primary focus of the agreement will be the production and transportation of low-carbon ammonia and its application as a fuel in energy generation, including industrial-scale testing at Currenta’s site in Dormagen, Germany.

In his comments, Al Kaabi said that their fast-growing ammonia business is enabled by the UAE’s abundant and competitive energy resources. As a responsible global energy provider, ADNOC is committed to meeting the growing global demand for lower-carbon intensity energy.

“In doing so, we are very pleased to partner with the Government of North Rhine-Westphalia and Currenta to jointly decarbonize Germany’s vital industrial heartland,” Al Kaabi added.

Hyldmer, in turn, said that Ammonia has the potential to play an important role in decarbonisation – for example as a hydrogen carrier or as a fuel in heat generation. As a chemical park operator with large steam and heat generation plants, Currenta is observing very closely to see whether it succeeds in realising this potential.

“An important factor here is the development of global supply chains for ammonia. We, therefore, welcome and support the commitment of the state of NRW to work with ADNOC to advance such value chains,” he added.

ADNOC has already invested in low-carbon ammonia, where the carbon dioxide (CO2) emitted during production is captured and stored underground. In May 2021, the company announced a 1 million tons per year low-carbon ammonia production facility at the TA’ZIZ industrial ecosystem and chemicals hub in Ruwais, Abu Dhabi.

The company has significantly expanded its strategic energy partnerships across the hydrogen value chain and has shipped demonstration cargoes of low-carbon ammonia to customers in Asia and also to Germany as part of the UAE-Germany Energy Security and Industry Accelerator (ESIA) Agreement.

ADNOC is also investing in renewable energy through Abu Dhabi Future Energy Company (Masdar), a clean-energy powerhouse that will place the UAE at the forefront of the energy transition.